Post recession planning should start now, not be delayed until business starts to improve.
It’s time now to think about what the world of business will be like after the recession, and how to configure your operations for the market you will face.
Cash control is the first essential. Businesses fail on the upswing out of recession, as well as during the recession itself. Mostly they have kept going during the downturn by a mix of borrowing, getting credit from their suppliers and keeping wages down. Then the climate for business improves; suppliers want to cut their creditors back to normal, staff want to see some reward for loyalty, and banks find big new exciting ways of investing their money, and want their older loans repaid.
So firms need to make sure that they don’t over-extend during the early days of returning prosperity. Tight control of cash remains essential, and expansion projects have to be financed very cautiously indeed. Over-trading and over-investment are the mistakes to avoid.
The good news is that there will be lots of opportunities to sell and get business. The bad news is that those of your competitors who have also survived will be leaner, fitter and stronger than they were. You are going to have to fight for your share of the opportunities. This means that your staff need to be on top of their game, your quality needs to be second to none, and your market intelligence must be sharp and clear.
In most cases the companies that prosper in the years after a recession will be those who kept their best people during the hard times, and made sure they were trained to take advantage of any opportunities that came your way. Good, trained people will give you your best chance of survival, as well as of expansion after the worst is over. They will keep your quality high, your market information up to date, and your customers happy.
The paradox is that some companies seem to risk their chance of survival and longer-term prosperity by letting people go who would have been their star performers in the post recession world. Worse, they cut back on training to conserve cash, and end up without the skills that would have led them through the risky post-recession recovery period.
Internationally, the training that companies put into their staff is the key factor in assuring success in the post-recession world. And training in the international language of business is an important core investment during the recession.
For companies in Jakarta, here’s a link to the best, and certainly the most focused English language training provider in your city.
Your post-recession future starts here!
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